"When targeted by a power from any other Arcane Background, a hero with this knack can discard a Fate Chip to negate the effect and force the caster to make a Spirit roll (–4) or be Shaken."

How does that interact with Area of effect powers like Blast or Burst, does the power target an area, where the Christmas character happens to be standing or does it target the Christmas character, and also happens to target other who are standing close by?

I guess I'm asking if AOEs can be chipped away by the Knack's power or not. (I am also presuming that if the answer is yes, that the whole effect goes away and not just the effect on the Christmas character, is that wrong?)

2.
The thread Deadlands: Reloaded & The Flood Errata [As of 7-23-09] states that
"4. Any base power descriptions (not trappings) that do not match the core rulebook should use the newer listing."
(emphasis mine)
Does this still hold true? For example the power "Quickness" changed from 2 actions per turn to 2 turns per round, which rule set holds sway here, DLR or Deluxe?
And the same for Edges, Hindrances and anything else that might have been "upgraded" by deluxe (e.g. the Martial Arts & Improved Martial Arts Edges).

I think I'm just thrown because it says "newer" and not "setting rules"

"When targeted by a power from any other Arcane Background, a hero with this knack can discard a Fate Chip to negate the effect and force the caster to make a Spirit roll (–4) or be Shaken."

How does that interact with Area of effect powers like Blast or Burst, does the power target an area, where the Christmas character happens to be standing or does it target the Christmas character, and also happens to target other who are standing close by?

I guess I'm asking if AOEs can be chipped away by the Knack's power or not. (I am also presuming that if the answer is yes, that the whole effect goes away and not just the effect on the Christmas character, is that wrong?)

"When targeted" means that character is specifically targeted by the power, not simply in the area affected. In short, no, it doesn't work against AE attacks. Targeted should require an attack roll or opposed roll to directly affect the character.

Matchstickman wrote:

2.
The thread Deadlands: Reloaded & The Flood Errata [As of 7-23-09] states that
"4. Any base power descriptions (not trappings) that do not match the core rulebook should use the newer listing."
(emphasis mine)
Does this still hold true? For example the power "Quickness" changed from 2 actions per turn to 2 turns per round, which rule set holds sway here, DLR or Deluxe?
And the same for Edges, Hindrances and anything else that might have been "upgraded" by deluxe (e.g. the Martial Arts & Improved Martial Arts Edges).

I think I'm just thrown because it says "newer" and not "setting rules"

Questions on using SW Deluxe with Deadlands are covered in the aptly named Deadlands Deluxe-ified document, available here...